BTC, XRP, and SHIB: Prominent cryptocurrencies to keep an eye on this week
Despite the recent slump in the overall market, the global cryptocurrency market cap experienced a 3.68% increase this week, reaching $1.69 trillion. This growth was largely driven by the performance of major assets like Bitcoin (BTC), XRP, and Shiba Inu (SHIB).
At the beginning of the week, BTC had suffered three consecutive intraday losses, dropping to a low of $43,929. However, the asset quickly rebounded and started the week on a positive note.
BTC rallied by 7.5%, reaching a 21-month high of $47,248 on January 8th. Although it faced some resistance at this new peak, BTC still ended the day with an impressive 6.88% increase, closing above the $46,000 mark at $46,951.
The bullish performance of Bitcoin was fueled by growing optimism surrounding the upcoming spot BTC ETF products. With the expectation of a decision this week, many experts predicted that the ETF filings would be approved, leading to increased optimism and buying pressure.
On January 10th, the SEC approved all 11 spot BTC ETF filings, resulting in billions of dollars flowing into the crypto market. This led to a market-wide rally, with Bitcoin reaching a 22-month high of $48,969 on January 11th, surpassing the $48,000 mark for the first time since March 2022.
Unfortunately, the rally was short-lived, as a massive sell-off followed shortly after. BTC dropped to a low of $41,500 on January 12th, ending the day with a disappointing 7.67% decline. Since then, attempts at a recovery have been unsuccessful, with BTC hovering around the $43,000 mark. Overall, BTC had a relatively flat performance this week, with a minimal 0.02% increase.
Moving on to XRP, the cryptocurrency leveraged the broader market uptrend to target the $0.63 level. However, a subsequent decline resulted in a crash below multiple crucial support levels. XRP reached a high of $0.6240 on January 11th, representing a 13% increase from its starting price of $0.5515 for the week.
Unfortunately, the market drop caused XRP to lose most of its gains from earlier in the week, resulting in a 5.32% decline on January 12th. Although XRP has partially recovered, it is still trading below the $0.58 price threshold. Nonetheless, the asset is currently up by 4.87% for the week, with a current trading price of $0.5784.
For XRP to make any meaningful attempt at reaching the next crucial price point, it needs to maintain support above $0.5780. The next resistance level for XRP is at $0.6017, which is currently at Fibonacci 0.5. If XRP can breach $0.6017, the next resistance level would be at $0.6254, potentially leading to a further increase towards the $0.63 price.
Lastly, let’s take a look at Shiba Inu (SHIB). The $0.00001 price level is a significant psychological threshold for this asset. SHIB has been repeatedly reclaiming and relinquishing this price point since last year.
On January 10th, SHIB managed to recover the $0.00001 level, reaching a high of $0.00001050 the following day due to the uptrend in the market after the approval of the spot BTC ETF products. However, during the downturn on January 12th, SHIB dropped below this price territory, falling to $0.00000964.
Since then, Shiba Inu has made several attempts to recover and retest the $0.00001 level on January 13th and 14th. However, each retest has been followed by a subsequent rejection. Currently, Shiba Inu is trading at $0.00000992 and is looking to once again reclaim the $0.00001 psychological threshold. The next significant resistance point for SHIB is at $0.00001013.
Overall, despite the market-wide slump, the global crypto market cap managed to increase this week. Bitcoin, XRP, and Shiba Inu played significant roles in driving this growth. However, the market remains volatile, and investors should closely monitor the performance of these assets in the coming weeks.
